Love you, hate your debt: Couples seek prenups as student loan debt reaches $1.65T

Love you, hate your debt: Couples seek prenups as student loan debt reaches $1.65T
Student loans moving into serious delinquency outpace other debt types, forcing those intending to marry to look at protecting their finances from their partners' liabilities.
NOV 05, 2025

America’s love affair with credit appears to be undying, with new stats showing household debt reached $18.59 trillion at the end of the third quarter of 2025.

But for couples planning to marry, one segment of the US consumer debt mountain is concerning many, who are using protection associated with the rich and famous to shield them from their partner’s student loan debt.

First, to put the nation’s debt into perspective, the data released today by the Federal Reserve Bank of New York shows that household debt rose 1% quarter-over-quarter, adding $197 billion to the almost $19 trillion owed.

Most of this was mortgage debt which increased by $137 billion in the quarter ($478 billion year-over-year) to more than $13 trillion. HELOCs added $11 billion but total a relatively small $0.4 trillion. Credit card debt was up $24 billion ($67 billion year-over-year) to $1.2 trillion; auto loans were flat at $1.7 trillion; and the ‘other’ category was up $10 billion in the quarter to $0.6 trillion.

For student loan debt, there was a $15 billion rise in the third quarter and a $47 billion increase year-over-year to bring the total to $1.7 trillion, roughly in line with auto loans.

Looking at delinquencies, credit cards and student loans saw increases, while other debt types decreased. And for those loans that transitioned into serious delinquency (90+ days) there were generally small increases for most loan types (except mortgages).

 “The relatively low mortgage delinquency rates reflect the housing market’s resilience, driven by ample home equity and tight underwriting standards,” says Donghoon Lee, economic research advisor at the New York Fed.

However, the report reveals that for student loans, the transition rate to serious delinquency went from 0.77% in Q3, 2024 to 14.26% in Q3, 2025. That’s more than double the rate for credit cards which are the second highest in this regard.

It's worth noting that missed federal student loan payments that were not previously reported to credit bureaus between Q2,2020 and Q4, 2024 are now appearing in credit reports. Consequently, student loan delinquency rates remained elevated after a sharp rise in the first half of 2025. In the third quarter, 9.4% of aggregate student debt was reported as 90+ days delinquent or in default, as compared to 7.8% in Q1, 2025 and 10.2% in Q2, 2025.

Against this backdrop, it’s perhaps not surprising that couples see prenups more like debt shields than wealth preservers according to LegalShield.

The firm’s survey found that around 77% with student debt would consider a prenup and those with student debt are six times more likely to have a prenup. As a demonstration of their love, 54% of respondents who have student debt said they would get a prenup to protect their partner.

“While marriage is usually based on love, it is now defined by debt,” says Warren Schlichting, CEO of LegalShield. “Prenups have become essential protection for young couples facing heavy financial burdens due to the student debt crisis.”

But prenups are not just about finances, with the survey finding that 62% said a prenup should define ownership of YouTube channels or podcasts created together, 51% believe custody of shared pets should be included, and 33% seek social media breakup rules controlling what ex-partners can post online.

 

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